The primary care operator Cano Health (NYSE: CANO) has had a busy year. The company just went public back in November 2020 in a $4.4 billion reverse merger with Jaws Acquisition Corp, a special purpose acquisition company. And now it is back with a new deal valued at more than half a billion dollars.
Cano Health announced it was buying University Health Care and its affiliates, which provide comprehensive primary care to communities in South Florida. The company serves approximately 24,000 Medicare Advantage members. The deal is valued at $600 million, or $540 million in cash and $60 million in equity. University Health Care is expected to generate $355 million in revenue this year and $37 million in adjusted EBITDA.
Cano Health operates primary care centers and pharmacies in Florida, as well as providing a suite of population health management services. The acquisition gives its proprietary population health management technology platform, CanoPanorama, 13 University facilities and more than 300 University employed and affiliate providers. It also expands the company’s leading market share in Florida, the number one Medicare Advantage market in the United States.
Cano Health also now estimates full-year 2021 adjusted EBITDA between $100 million and $110 million and reaffirms its full-year 2021 membership guidance of 154,000 to 162,000 members and revenue guidance of between $1.4 billion and $1.5 billion.
